In brief
The Trump administration’s decision to suspend the PERM labor‑certification program for eight major tech firms—including Microsoft, Infosys, Tata Consultancy Services, Wipro and HCL—has thrown a shadow over the career paths of millions of Indian engineers who have long relied on H‑1B visas and green‑card pathways to settle in the United States. The freeze has stalled thousands of pending applications, leaving many workers stuck in limbo and prompting questions about the future of Indian talent in a rapidly evolving tech landscape. While firms are reportedly adjusting by hiring more local staff, the restriction fuels broader anxieties about anti‑Asian sentiment, economic impact, and the long‑term viability of the U.S. tech ecosystem’s reliance on international talent. Experts warn that the policy could shift jobs back to India and push some professionals to reassess their long‑term plans in America.
The last week saw a sharp blow to the U.S. tech sector’s Indian talent pipeline when President Trump’s office announced that it would suspend the Permanent Labor Certification program (PERM) for eight major technology firms. Companies hit by the freeze include Microsoft, India’s Infosys, Tata Consultancy Services, Wipro and HCL Technologies.
This move comes as a culmination of a broader push to tighten skilled‑worker immigration. The PERM freeze halts new and pending green‑card applications filed under the program, effectively putting a lid on a long‑shadowed ladder—engineering degrees in India, H‑1B work visas, repeated renewals and finally the coveted permanent resident status—that has guided many Indian engineers for decades.
According to data from the National Foundation for American Policy, as of December 2025 the U.S. court system had more than 800,000 Indian nationals in the employment‑based green‑card backlog, 79 % of all pending cases. Many of those had been waiting in a single‑digit visa category, but the new restrictions could push waiting times up to almost two centuries for some applicants.
Industry representatives say the impact on the bottom line may be limited. Wipro noted that over 80 % of its U.S. employees are hired locally, while Tata Consultancy Services reported that it filed only a single‑digit number of PERM petitions in the last two years. Microsoft said it applies for H‑1B visas mainly to retain existing staff rather than recruit new talent.
The policy’s fallout extends beyond business. Several experts highlighted a rise in anti‑Asian online hostility and an increase in anti‑South Asian sentiment in the United States post‑2024 election, with H‑1B holders frequently targeted. Vice President JD Vance’s description of foreign H‑1B workers as “foreign indentured servants” drew sharp criticism from India’s foreign ministry, which called his language “unwarranted” and “deeply offensive.”
For the affected professionals, the pause has personal consequences. Many feel trapped between a stalled green‑card process and an uncertain future, with some reluctant to leave the U.S. after growing up here while their children are often unsure about relocating back to India. “We are stuck in a space where we have invested years into the U.S. economy but our green‑card applications haven’t moved,” a senior executive from one of the eight firms explained, keeping his identity confidential.
Alternatives for green‑card status remain, but they are fewer. Prospects such as the EB‑2 National Interest Waiver or EB‑1 categories that bypass PERM, or the EB‑5 investor route demanding a minimum of $800,000, are limited by capital and policy uncertainty. Lawyers noted that while some workers are looking at the investment route, the capital requirement is a significant barrier.
The federal government’s newest restrictions are part of a broader trend. In 2024 the Trump administration introduced a $100,000 fee on certain new H‑1B petitions, which was later struck down by court. More recently, a $70,000 fee for universities recommending international students for a post‑study work program has also faced legal challenges.
Some suggest that the changing immigration climate might prompt companies to shift more roles back to India or offshore them entirely. The cost benefits of off‑shoring and the growing acceptance of remote work have given firms additional flexibility to source talent abroad.
Despite the shift, analysts say the demand for Indian tech talent in the U.S. is unlikely to vanish. What may transform is how that talent is sourced and integrated, compelling professionals to rethink the traditional path towards a U.S. life and eyeing new pathways for careers and citizenship.
